Hiring spree beefs up McDonald's recent boom

April 19 is a big day for McDonald's (MCD). The hamburger chain wants to hire as many as 50,000 workers on that day, and it will take applications on its website and at many restaurants.

The hiring binge is one result of the extraordinary business run McDonald's has engineered over the past few years. When the economy tanked, more people turned to the Golden Arches to dine on a budget. McDonald's added to its bottom line with its successful McCafe line of coffees and other beverages. And smart promotions like the nationwide McRib and oatmeal launches worked well.

Now the company is moving more restaurants to a 24-hour schedule. It's aiming for three to four new hires per restaurant, which would add 7% to its work force in the U.S. for a total of 700,000 employees.

Post continues after this video interview with McDonald's about the hiring spree:
The company's share price rose slightly on the news Monday to $76.42 in morning trading. That's less than a 1% gain over Friday's share price.

McDonald's started the year with a bang, and momentum hasn't slowed. In January, same-store sales in the U.S. rose 3.1% even as horrendous weather in January kept people from visiting stores. In February, sales rose 2.7% from the year earlier.

But even as its business thrives, McDonald's faces increased costs for its raw materials. Analysts expect the prices McDonald's pays for chicken, wheat and cheese will rise 2% to 2.5% this year, The Los Angeles Times reported.

So to bulk up its workforce by 7% in the face of rising costs says a lot about McDonald's confidence in its business moving forward.

The Atlantic notes that the 50,000 employees McDonald's wants is equal to a quarter of the new jobs created in the entire U.S. last month. The company and its franchises are likely to boost spending by more than $518 million in the next year, Fox Business reports, mostly through wages and salaries. That could lead to an extra $54 million in payroll taxes, one study reported.